Comment on Taxes are cool
CapuccinoCoretto@lemmy.world 12 hours agoYou’re onto a piece of something, but it’s a partial truth that you’ve perhaps over generalized.
To your point, America is exporting it’s inflation globally so it can buy things with money it doesn’t have. I also agree to your point that neoliberal economics, especially how it is discussed in public through western (American) & bilkionaire owned media and government is a sham. This is some of the kernel of truth you speak of.
You overstate your case when you talk about taxation and economics as a whole. Don’t throw the baby out with the bathwater.
Steve@communick.news 12 hours ago
I don’t understand.
Do you mean inflation as increasing prices?
Or increasing money supply?
Neither matters realy as the USD is the global currency. Foreign and domestic together, are a single economy from point of view of the USD.
CapuccinoCoretto@lemmy.world 11 hours ago
That’s it! You answered your own question. Because it’s the global reserve currency, it can inflate its money supply and gain the domestic benefits of money for nothing, but the negative impacts of “relatively more dollars chasing relatively fewer goods” are diluted among all global economies using the USD.
It’s a limited and temporary advantage. As the world is finding out the hard way, any dealing with US assets now poses incalculable geopolitical risks. Not just from losing the defacto reserve status, but both from abandoning the rule of law for autocracy as well as from disruptive warmongering, tarrifs, broken deals, loss of trust and the inability to bargain in good faith.
Steve@communick.news 10 hours ago
Yah… That’s econ 101 stuff I’m not and haven’t been confused about that. Not sure how that’s ‘exporting’ inflation.
I don’t understand what you’re trying to say.
I’m not sure you understand what I’m trying to say.
CapuccinoCoretto@lemmy.world 8 hours ago
You:
Me: